- US equities are holding on to yesterday’s low as we approach this morning’s open, and this presents a cautious backdrop around stocks as earnings season continues. The big fear factor here is the Fed should the selling continue, as we may not have such a friendly response should stocks pull back given the pace of inflation in the US.
- This bearish theme in stocks is showing as both US Yields and the US Dollar continue to rally. We looked at a series of setups around the US Dollar in yesterday’s webinar entitled, US Dollar Price Action Setups Ahead of ECB, BoJ.
- DailyFX Forecasts have been updated for Q2, and are available from the DailyFX Trading Guides page. If you’re looking to improve your trading approach, check out Traits of Successful Traders. And if you’re looking for an introductory primer to the Forex market, check out our New to FX Guide.
Do you want to see how retail traders are currently trading the US Dollar or the Japanese Yen? Check out our IG Client Sentiment Indicator.
A Change-of-Pace in the Equity Space
As we approach the US open, the S&P 500 is sitting just a few handles off of yesterday’s low. Yesterday’s session was not pretty, with selling starting at the open and running all the way into the early afternoon. A bounce began to show at around 2PM, and by the 4PM close prices had rallied by as much as 20 handles off of the lows; but those gains could not hold, and S&P futures have been on offer since shortly after